TWC offers a broad range of residential video services,
including advanced services such as On-Demand, high-definition
(HD) and digital video recorder (DVR)
services. As of December 31, 2009, TWC had approximately
12.7 million residential video subscribers.

Programming tiers. TWC currently offers three
main levels or tiers of video programmingBasic
Service Tier (BST), Expanded Basic Service Tier (or
Cable Programming Service Tier) (CPST) and Digital
Basic Service Tier (DBT). BST generally includes
broadcast television signals, satellite-delivered broadcast
networks and superstations, local origination channels, a few
specialty networks, such as C-SPAN and QVC, and public access,
educational and government channels. CPST enables BST
subscribers to add to their service national, regional and local
cable news, entertainment and other networks, such as CNN, USA
and ESPN. In certain areas, BST and CPST also include
proprietary local programming devoted to the communities TWC
serves, including
24-hour
local news channels in a number of cities. DBT enables
subscribers who receive digital video signals (digital
video subscribers) to receive additional cable networks.
Generally, subscribers to any tier of video programming can
purchase genre-based programming tiers, such as movies, sports
and Spanish language tiers, and premium services, such as HBO
and Showtime.

TWCs video subscribers pay a fixed monthly fee based on
the video programming tier they receive. Subscribers to
specialized tiers and premium services are charged an additional
monthly fee, with discounts generally available for the purchase
of packages of more than one such service. HD simulcasts (i.e.,
HD channels that are the same as their standard-definition
counterparts but for picture quality) are generally provided at
no additional charge, and additional charges generally apply
only for HD channels that do not have
standard-definition
counterparts. The rates TWC can charge for its BST service and
certain video equipment, including set-top boxes, in areas not
subject to effective competition are subject to
regulation under federal law. See Regulatory
Matters below.

On-Demand services. On-Demand services are
generally available to digital video subscribers. Available
On-Demand services include a wide selection of featured movies
and special events, for which separate per-use fees are
generally charged, and free access to selected movies,
programming from broadcast stations and cable networks, music
videos, local programming and other content. In addition,
premium service (e.g., HBO) subscribers generally have access to
the premium services On-Demand content without additional
fees.

DVR service. Set-top boxes equipped with DVRs
enable customers, among other things, to pause
and/or
rewind live television programs and record programs
on the hard drive built into the set-top box. Subscribers pay an
additional monthly fee for TWCs DVR service. As of
December 31, 2009, 50%, or approximately 4.4 million,
of TWCs digital video subscribers also subscribed to its
DVR service. In 2010, TWC expects to introduce remote DVR
management, which will allow customers to program their DVRs via
a website or mobile handset, and a
multi-room DVR
service, which will allow a program recorded on a DVR to be
watched on any television with a TWC-provided set-top box in a
customers home.

Network DVR services. TWC is expanding the use
of Video On-Demand (VOD) technology to introduce
additional enhancements to the video experience. For instance,
as of December 31, 2009, Start
Overtm,
TWCs Emmy-award winning technology, was available to 79%,
or approximately 7.0 million, of TWCs digital video
subscribers. Start Over allows digital video subscribers using a
TWC-provided set-top box to restart select in
progress programs directly from the relevant channel,
without the ability to fast-forward through commercials. TWC has
begun rolling out other Network DVR services such as Look
Backtm,
which

extends the window for viewing a program to 72 hours after
it has aired, and Quick
Clipstm,
which allows customers to view short-form content tied to the
broadcast station or cable network then being watched.

High-speed
Data Services

TWC offered residential high-speed data services to nearly all
of its homes passed as of December 31, 2009. TWCs
high-speed data services provide customers with a fast,
always-on connection to the Internet. High-speed data
subscribers connect to TWCs cable systems using a cable
modem, which TWC provides at no charge or which subscribers can
purchase on their own. Subscribers pay a fixed monthly fee based
on the level of service received. As of December 31, 2009,
TWC served approximately 9.0 million residential
high-speed
data subscribers.

Road Runner High-Speed
Onlinetm. TWC
offers four tiers of Road Runner High-Speed Online service in
all of its systems:
Turbotm,
Standard, Basic and Lite. Each tier offers a different speed at
a different monthly fee. Turbo generally offers subscribers
speeds of up to 20 Mbps downstream and 2 Mbps
upstream. In addition, in the majority of its systems, TWC
provides Turbo and Standard subscribers with
Powerboosttm
at no additional charge, which allows users to initiate brief
download speed bursts when TWCs network capacity permits.
During 2009, TWC deployed a new Wideband service in
New York City, and expects to continue to selectively deploy
Wideband in its service areas during 2010. Wideband generally
offers subscribers speeds of up to 50 Mbps downstream and
5 Mbps upstream.

TWC offered its Digital Phone service to nearly all of its homes
passed as of December 31, 2009. Most Digital Phone
customers receive unlimited local, in-state and U.S., Canada and
Puerto Rico calling and a number of calling features, including
call waiting, caller ID and Enhanced 911 (E911)
services, for a fixed monthly fee. TWC also offers additional
calling plans with a variety of options that are designed to
meet customers particular needs, including a local-only
calling plan, an unlimited in-state calling plan and an
international calling plan. As of December 31, 2009, TWC
served approximately 4.2 million residential Digital Phone
subscribers. In 2010, TWC expects to launch a residential web
portal, which will allow Digital Phone subscribers to use the
Internet to customize their Digital Phone features and listen to
their voicemail.